Some banks are using iPod's instead of toasters to encourage new accounts. Michael Fitzgerald reports in CIO Insight on Commerce Bank's strategy uses advanced IT to help drive quick responses for customers in branches.

PassMark Security has announced that the Stanford Federal Credit Union has implemented its Two-Factor Two-Way Authentication System.

"We chose PassMark because it is simple. Online members have always had to prove their identities to us. But with the explosion of 'phishing' attacks, online service providers should have to prove their identities to the consumer. PassMarks give us an effective way to do so, one that's easy for our members to understand and to use," said SFCU President, John Davis.

MasterCard International this morning announced 10.6% growth in gross dollar volume (GDV) on MasterCard-branded cards. For the full year 2004, 679.5 million MasterCard cards generated 16.7 billion transactions worth $1.5 trillion. GDV for worldwide credit and charge programs grew 8.8 percent to nearly $1.2 trillion, while GDV for offline debit programs rose 18.7 percent to $277.2 billion.

Jennifer Saranow reports in the Wall St. Journal on steps banks are taking to speed up the process of opening online accounts.

By speeding up the online application process, banks hope to make better use of the Internet as a way to attract more customers to their online banking sites. Banks like online customers because they tend to keep high balances; cost less to serve; and are easier to market other banking products to than branch patrons.

Mara Der Hovanesian writes for Business Week on this week's announcement by American Express that it will be spinning off its brokerage and money management unit to shareholders later this year so that it can focus on its payment card business.

The move frees AmEx to focus ever more incisively on its core card business. "More companies like ours are recognizing that if you don't have focus, you're at a competitive disadvantage," Chief Executive Kenneth Chenault told BusinessWeek Online on Feb. 1, the day the deal was announced.